Economic Growth Of Latin America

Although Australia remains geographically isolated from the world, international trade still remains a main factor that allows Australia’s economy to prosper. Australia’s long history of trade has created tight links and connections with other nations. Being a member of many worldwide organisations, Australia has produced many free trade agreements with countries around the world. However, recently Australia has seen a change in the composition and direction of its trade and has developed a strong trade link with the Asia-Pacific Region.

Globalisation is having a significant impact on marketing. This is because a business, by distributing itself across international borders makes its product more readily available to international customers and creates employment opportunities in the country it has moved to. To understand the impacts, globalisation, marketing (particularly market segmentation), global marketing strategies and general history of Qantas need to be examined.

Australia’s Position in the global exporting market is only 22nd, which is far from its leading top trade partners that fit in the Top 5. Also, Australia’s global ranking in the global importing market is 18th, which is under India whose economic status is much lower than Australia. A second disadvantage that Trading brings to Australia is the competition between local small businesses and Trans National Corporations (TNC). Local businesses are closing down and being taken over because of the increase in the entrance of TNCs in Australia. Large Fast food chain Corporations like McDonalds, put local fish and chips shops under pressure. Another disadvantage with Australia being part of International trading is that most of the products that Australia export are agricultural goods that has high tariffs, making it costly for Australia to be able to export.

Latin America is filled with countries that have such great richness in environmental, agricultural and cultural goods but unfortunately it is also the place where the majority of the countries have high levels of poverty and social inequalities. Latin America is the place where we find many natural wonders like the Amazon rainforest, the Andes, the Iguazu Falls and many other natural resources. However, the economic situation is one of the poorest in the world. According to the article, The Politics of Economic adjustment policy in Argentina, Brazil, and Mexico: Experiences in the 1980’s and challenges for the future, Latin American countries underwent the worst economic recession during the 1980’s. The distribution of incomes after the

There has been a lot of conversation surrounding the use of driverless trucks in mining. It was in 2015 that two Pilbara mines started using them to move iron ore. The workers control the trucks from 1200 kilometres away and the trucks can worth 24 hours a day without breaks. This has saved companies up to 500 hours every year.

A country packed with history, culture and tradition; the third biggest state in Latin America which has the largest population (at the beginning of the 21st century, population exceeded 100 million) – MEXICO.

This system of capitalism was originally brought to the Third World countries through a preliminary process called the mercantilism period. This system was made possible by the occurrence of renaissance in Europe that encouraged the birth of modernity. European countries were promoting divisions to gain trade benefits from Asia to Africa. Generally they did so by applying monopoly practices over their colonies. This phase then continued to colonialism. In an effort to change the economic logic of this colonial government organized different approaches. Some by totally changing and some by transplanting local economic structures and or modified them. In Latin America and the Caribbean the separation of peasants from forcible land ownership then sent slaves as workers who contributed surpluses from cotton and tobacco farms. In some parts of Asia it is done by utilizing existing early systems through local high-ranking officials such as those in Java.

For the Latin American/Caribbean region, one human induced environmental problem would be the severity of deforestation due to mining practices. According to Lisa Naughton’s lecture, the price of gold has skyrocketed due to the stock market crash, leading to a higher demand of gold and driving roughly 7,000 miners into the forest, making this a global resource demand. Gold mining has a significant history South America. According to page 281 of the textbook, Spain demanded that their colonies provide gold and silver for the Spanish crown during the 1500s, with the crown itself demanding 20% of all mining profits. Also, outsiders are no strangers to destroying South America’s natural resources for their own benefit. As stated on page 281,

A fixed exchange rate regime will offer an economy greater stability in international prices and therefore encourage trade. Additionally, for developing countries a fixed rate will assist in promoting institutional discipline as the country will adopt restrictive monetary and fiscal policies that foster an anti-inflationary environment. A significant weakness of a fixed rate is that it is subject to destabilizing speculative attacks which could lead to financial meltdowns and devastating economic contractions. A floating exchange rate regime allows central banks to combat macroeconomic factors such as unemployment, inflation, and interest rates without having to worry about the effect on exchange rates. However, developing countries whose economies depend on trade will be reluctant to allow their exchange rates to fluctuate freely.

Chile is known for its growing economy, and in order to have a healthy growing economy a country must have various trade agreements. Chile has trade agreements with almost everyone. Each agreement is special in its own way. The state has also recently became more involved with regional trade as it wishes to become a bigger presence in South America (Ibanez, Garcia). The state is also hoping to become an important economic state internationally, which is why its market score is currently 78.5 (The Heritage Foundation). It is currently one of the Top 10 free economic leaders; as the state hold the 7th spot for the most free economy (The Heritage Foundation).

According to The World Bank there is a great possibility that developing countries may see a fourth consecutive year of disappointing economic growth in 2015, and may even encounter a fifth negative year in 2016. In the past couple months; developing countries have begun to see the repercussions of low prices for oil and key commodities (The World Bank, 2015). According to World Bank President Jim Yong Kim, "Developing countries were an engine of global growth following the financial crisis, but now they face a more difficult economic environment”(The World Bank, 2015). Despite recent downturns for emerging markets, Chile has been on the up rise since taking a large hit to GDP growth in 2014. In this paper we will analyze the Chilean Economy, its financial systems, exchange rate systems, as well as some of the risk involved in investing in Chilean markets.

Exchange rate represents the external value of a currency. Changes in exchange rates may affect the relative position of a country in the international trade. Politicians and economists concern about exchange rate variability for lots of reasons, among which that the exchange rate variability discourages trade comes first. However, a large empirical literature on this issue does not confirm a significant effect of exchange rate on the volume of trade [1]. Instead other variables such as employment should be much more important from a practical point of view, for it is closely related to people’s livelihood.

La tierra mas hermosa. The most beautiful land. Latin America and the Caribbean maintain the humble beauty of many indigenous regions. The rugged mountains of Bolivia are scattered across graded lands. The Quechua people can be seen wearing richly decorated ponchos as they plant seeds for forming. Weathered volcanic lavas are stretched over the lands of Guatemala, and the heavily wooded forest trees can also be seen in the eastern slopes of the Andes. The azure blue oceans of Havana sparkle as the golden sun illuminates the sky. These humble lands have always been here; streams of people have flowed through these lands for centuries. It is only the globalización that is relatively new, and along with that comes the life one lives in these lands--pobreza y viviendo en el infierno [poverty and living in hell]. The impact of globalization in Latin America has caused a ripple in the lives of many individuals living in Latin America and the Caribbean. Although globalization is not a new concept, the process of globalization has drastically expanded and involved into social, political, and economic changes that weakens the sovereignty and power that helps create policies and reform government institutions.

The information in the table highlights the impact of Asian foreign markets and the growing. China and Japan have been indifferently on the top position and has seen to takeover Unites States in the years stated (dfat.gov.au., 2016). There is no percentage, so the drawback lies in accurate comparison between countries amongst the distribution of export markets.

Exchange rates are very important policy that a government must decide on how to implement them. The exchange rate can effect on the economy and the actors who participant in them, thus each actor wants a policy that will benefit themselves. If a government is not too care, with could enter a currency crisis as witnessed in Mexico. To understand what exchange rate policy, the government should enact, it should understand how the actors’ attitudes. In this paper for instance, three different actors all responded differently to the question “How many problems do exchange rates cause for your business?” The results are, in a country that experienced appreciation tradable producers were much unhappier with the exchange rate than non-tradable producers, exporting firms were unhappier about the exchange rate if they were located in a country with a floating exchange rate compared to non-exporting firms, and lastly government owned firms were less likely to show unhappiness with exchange rate no matter their industry, export-status, or country. Economic actors will want the exchange rate regime to benefit them and make them prosper, thus they will support any policy that will favor their interest. In these cases, those policies are not appreciation for tradeable producers and not floating exchange rates for exporting firms. To understand why each actor reacted the way it did, theories about the exchange rate can be applied.